U. S. Supreme Court Broadens the Basis for Discrimination Claims
Surprising ruling means that employers can expect more lawsuits
The most common legal claims brought against staffing firms (and employers in general) are lawsuits brought under Title VII of the Civil Rights Act of 1964, as amended, and its state and local variants. Last week, the U.S. Supreme Court
Double Dipping Employees on the Rise
Cross Country Staffing lawsuit highlights the problem - a recruiter with three full time jobs...
The rise of remote work has created opportunity for workers to hold more than one "full time" job. A 2023 report by organizational consultant McKinsey estimates that 5% of a typical company'
Aerotek Wins the Right to Arbitrate- But Loses the Arbitrations
In a landmark 2021 decision in favor of staffing giant Aerotek (and beneficial to employers in general), the Texas Supreme Court ruled that former Aerotek temporary employees could not invalidate their electronic signatures on arbitration agreements merely by denying that they signed them. The ruling in this employment discrimination case
Big Law Recruiter Loses Appeal of $6,391,732 Award to Former Employer
Collection efforts have recruiter on the run
In September 2022, Staffing Legal news reported that a Texas federal judge found legal search recruiter Evan P. Jowers was liable to his former employer, MWK Recruiting, for misappropriating candidate lists and violating his non-competition agreement:
Recruiting Agency Awarded $3,640,132.60
Justice Department Repeatedly Punishing Staffing Firms for Job Posting Violations
It's easy pickings for DOJ regulators
There is a right way and a wrong way to address immigration status in a U.S. job posting. The DOJ website explains here. It's pretty simple:
Right way: "Must be authorized to work in the U.S."
Court Denies Acara's Motion to Dismiss System One's Tempnapping Case
Injunction Hearing Scheduled
In unusually rapid fashion, U.S. District Court Judge Maryland Horan has denied Acara Solutions' request for dismissal of System One's "tempnapping" lawsuit filed last month in Pennsylvania. The lawsuit (attached below) seeks to prevent Acara from hiring 200 System One workers
Acara Responds to System One's "Tempnapping" Suit
Last month SLN reported on System's One's lawsuit challenging a client's attempt to transfer its entire assigned workforce to competitor Acara Solutions. Acara has now responded and seeks dismissal of the case (Acara's Brief attached below). As we pointed out in the
Aerotek Filing Big Debt Collection Lawsuits
Is it the economy or just business as usual?
As one of the biggest players in the staffing industry, it is not surprising that Aerotek spends more time in court than most staffing firms. Lately, the firm has been chasing clients for some pretty large unpaid bills. This may be
Staffing Agency TalentLaunch Named in Data Breach Class Action
Staffing agency TalentLaunch, LLC has been named in a class action (copy attached) filed in the U.S. District Court for the Northern District of Ohio. The lawsuit is part of the newly emerging legal industry of data breach class actions.
ASA-Supported Staffing Agencies Overturn Benefit Matching Requirement in Illinois
In a significant, albeit partial, victory, the ASA affiliated Staffing Services Association of Illinois and several staffing firms have won a federal court injunction halting the enforcement of Illinois' recently imposed requirement that industrial staffing firms match their clients' benefits.
Healthcare Giants in Heated Texas Noncompete Battle
On November 13, 2023, AMN Healthcare filed a lawsuit (attached below) against Aya Healthcare and Robert Wolf, who before his hire by Aya was a tenured (20 years) senior manager at AMN.
Fair Credit Reporting Act Lawsuit Filed Against Onin Staffing
A Missouri lawsuit against Onin Staffing (attached) serves as a reminder that alarm bells should go off when a client rejects a candidate because of a background check result.
Kimco Staffing Services Hit with Data Breach Class Action
California-based Kimco Staffing Services was just served with a class action lawsuit (attached below) arising out of a June 2023 cybersecurity event.
System One Brings "Tempnapping" Suit Against Acara Solutions
Is this a trend?
This sort of thing used to happen more frequently 25 years ago. A client decides to ditch its existing staffing agency and cuts a deal with a competing agency to take over the incumbent agency's workforce. Sometimes the issue was service, but more often
TEKsystems Battling Recruiter Class Actions on Both Coasts
On February 13, 2024, California U.S. District Court Judge Jacqueline Scott Corley certified a class of California TEKsystems recruiters in a wage/hour overtime case against the Allegis Group subsidiary.
Class Action Against Staffing Firm Points to Client's Faulty Timekeeping System
Last week we warned that: "Staffing firms are especially vulnerable to clients that control the timekeeping systems, and this can include the time entry systems of vendor management or managed service companies." And right on cue, we have a California class action that illustrates the point.
Another Shoe Drops in Lawsuit Against Legal Recruiter
Former employer wins attorney's fees - final award now $6,391,732.
Hayes Medical Staffing Wins Injunction Against Jobot Hires
But court declines to enforce noncompete agreements.
2023 HIGHLIGHTS
2023 was the first full year of publication for Staffing Legal News, and I am gratified by the response, especially the encouragement and positive comments from subscribers.
State Salary Minimums for 2024
Here are the state rates for 2024 that are higher than the federal minimum:
Massachusetts Set to Join States Requiring Pay Transparency
As predicted, the pay transparency train continues to roll, with Massachusetts on the verge of passing its own pay transparency requirements.
Illinois Paid Leave Alert - Chicago ups the Ante for City Employers
My recent update on the Illinois "any reason" paid leave law requires supplementation, because the City of Chicago has just passed its own controlling leave law that goes into effect on January 1, 2024. It's a business killer if there ever was one.
14 Year Battle Between Recruiter and Major, Lindsey & Africa Not Over Yet
What is it about legal search recruiters? This is my second story in a year about a massive damage award against a legal search recruiter for engaging in unfair competition, only this one has a twist.
Kforce Pays $900,000 to Settle Justice Department Claims of Hiring Discrimination
In a Press Release dated November 15, 2023, the US Department of Justice announced that it had reached a resolution of claims that staffing giant Kforce discriminated in hiring on the basis of citizenship.
Update on Mass Tempnapping Lawsuit
Last year SLN reported on a rare workforce transfer case in which it is alleged that a Business Development Manager for Surge Staffing left for a competitor, Resolve HR, LLC, and took 36 temps on assignment with her.
Staffing Firm Owner and Manager Hit With $1.4 Million in Fines by Massachusetts AG
Many business owners are not aware that they are potentially subject to personal liability under the federal Fair Labor Standards Act for wage/hour violations. Some states impose personal liability as well.
Here's What a Salary Transparency Class Action Looks Like
By Bill Josey wjosey@staffinglaw.com
Insight Global named in suit for allegedly nonconforming tech staffing job post - noncompliant employers face large damage awards in Washington
Last week I provided a Salary Transparency Update that reported on class actions being brought in Washington state against employers for failure to
